This thesis consists of four essays related to fiscal policies and financial markets broadly defined. The first chapter focuses on the role of consumption tax policy announcements for stock markets. The main result is that financial markets respond positively to consumption tax increase announcements, which is amplified as fiscal space deteriorates and when corporate debt is highest. The second chapter focuses on the role of corporate tax policy changes for sovereign spreads. The paper shows that there are distinct reactions to corporate tax revenue increases – depending on whether they come from changes to the base or rate of taxation. The third chapter examines the role of FDI for international risk sharing. Preliminary results suggest that FDI can play a role in international risk sharing - however the role is strongest in emerging markets and heterogeneous depending on whether FDI is financed by equity or debt. The fourth chapter examines the role of corporate taxation for cross-border investment. It finds small aggregate investment effects of a minimum tax rate. Overall, this thesis contributes to literature on the role of fiscal policies for financial markets, in addition to addressing prominent policy concerns.